CITY OF PATTERSON
COMMUNITY FACILITIES DISTRICT NO. 2022-01
(PUBLIC SAFETY SERVICES)
RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX
A Special Tax, as hereinafter defined,shall be levied and collected in City of Patterson Community Facilities District No. 2022-01 (Public Safety Services) (the “District”) each Fiscal Year commencing in Fiscal Year 2022/23, in an amount determined by the application of the procedures described below. All Taxable Property, as hereinafter defined, unless exempted by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.
I. DEFINITIONS
The terms used herein shall have the following meanings:
“Accessory Dwelling Unit” or “ADU” means a secondary residential unit of limited size, as defined in California Government Code Section 65852.2, as may be amended from time to time, that is accessory to a single-unit dwelling. The ADU of Developed Property may be on the same Assessor’s Parcel as the singleunit dwelling or on a separate Assessor’s Parcel. For purposes of clarification, where an ADU and primary Unit are on the same Assessor’s Parcel, the ADU located on such Assessor’s Parcel is considered a separate Unit from the primary Unit on such Assessor’s Parcel for purposes of the Special Tax. Should an Assessor’s Parcel contain only an ADU, such Assessor’s Parcel will be taxed as an ADU only. “Acreage” or “Acre” means that acreage shown on the Assessor’s Parcel Map or in the Assessor’s Data for each Assessor’s Parcel. In the event that the Assessor’s Parcel Map or Assessor’s Data shows no acreage, the Acreage for any Assessor’s Parcel shall be determined by the District Administrator based upon the applicable condominium plan, final map or parcel map or calculated using available spatial data and GIS.
“Act” means the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5, Division 2 of Title 5 of the Government Act of the State of California. “Administrative Expenses” means the following actual or reasonably estimated costs directly related to the administration of the District including, but not limited to, the following: the costs of computing the Annual Special Tax Requirement and the annual Special Tax and of preparing the annual Special Tax collection schedules; the costs of collecting the Special Taxes, including any charges levied by the County Auditor’s Office, Tax Collector’s Office or Treasurer’s Office; the costs of the City or designee in complying with the disclosure requirements of the California Government Code (including the Act), including public inquiries regarding the Special Tax; the costs of the City or designee related to an appeal of the Special Tax; and the costs of commencing and pursuing to completion any action arising from delinquent Special Taxes in the District. Administrative Expenses shall also include any other amounts incurred by the City or District in connection with the administration of the District, and amounts estimated or advanced by the City for any administrative purposes of the District.
“Annual Services Costs” means the respective annual amounts determined by the District Administrator as reasonably needed to fund services authorized to be funded by the District for the applicable yearly
period.
“Annual Special Tax Requirement” means that amount with respect to the District determined by the District Administrator as required in any Fiscal Year to pay: (1) the Administrative Expenses, (2) the Annual Services Costs, and (3) the amount required to establish or replenish any reserve or replacement fund established in connection with the District, as well as an amount equal to reasonably anticipated delinquencies in the payment of the annual Special Taxes based on the delinquency rate for Special Taxes levied in the previous Fiscal Year.
“Assessor’s Data” means Acreage or other Parcel information contained in the records of the County Assessor.
“Assessor’s Parcel” or “Parcel” means a lot or parcel shown in an Assessor’s Parcel Map with an assigned Assessor’s Parcel Number.
“Assessor’s Parcel Map” means an official map of the Assessor of the County designating parcels by Assessor’s Parcel Number.
“Assessor’s Parcel Number” means, with respect to an Assessor’s Parcel, that number assigned to such Assessment’s Parcel by the County for purposes of identification. “Boundary Map” means that map recorded with the County recorder’s office on ____________, 2022, in Book __ at Page __ as Document Number 2022-__________.
“City” means the City of Patterson, County of Stanislaus, California. “Council” means the City Council of the City, acting as the legislative body of the District. “County” means the County of Stanislaus, California.
“Developed Property” means, in any Fiscal Year, all Assessor’s Parcels of Taxable Property in the District for which a building permit for new construction was issued by the City prior to June 1 of the preceding Fiscal Year, but not prior to June 1, 2022.
“District” means the City of Patterson Community Facilities District No. 2022-01 (Public Safety Services). “District Administrator” means an official of the City, or designee or agent or consultant, responsible for determining the Annual Special Tax Requirement, including the Annual Services Costs, and providing for the levy and collection of Special Taxes in accordance with this Rate and Method of Apportionment of Special Tax.
“Exempt Property” means all property located within the boundaries of the District which is exempt from the Special Tax pursuant to Section V below.
“Fiscal Year” means the period from July 1st of any calendar year through June 30th of the following calendar year.
“Future Annexation Area” means the area designated for future annexation to the District as shown in the District Boundary Map, as may be amended from time to time. “GIS” means geographic information system.
“Industrial Property” means, in any Fiscal Year, all Parcels of Developed Property for which a building permit has been issued for construction of a structure to be used for industrial purposes, as determined by the District Administrator.
“Maximum Special Tax” means the maximum Special Tax authorized for levy in any Fiscal Year for each property type of Taxable Property as described in Section III or as identified for Tax Zones added to the District for future annexations.
“Multi-Family Residential Property” means, in any Fiscal Year, all Parcels of Developed Property with two or more Units that share a single Assessor’s Parcel Number, are offered for rent to the general public (or for resident manager purposes), and cannot be purchased by individual homebuyers, according to Assessor’s Data or as otherwise known by the District Administrator. Multi-Family Residential Property also means, in any Fiscal Year, all Assessor’s Parcels of Developed Property that share common walls, have separate Assessor’s Parcel Numbers assigned to them (except for a duplex triplex, or fourplex unit, which may share a Parcel with another duplex, triplex or fourplex Unit(s)), and may be purchased by individual homebuyers (which shall still be the case even if the Units are purchased and subsequently offered for rent by the owner of the Unit), including such residential structures that meet the statutory definition of a condominium project contained in Civil Code Section 4125. "Open Space Property” means property within the District which (i) has been designated with specific boundaries and Acreage on a final subdivision map as open space, (ii) is classified by the County Assessor as open space, (iii) has been irrevocable offered for dedication as open space to the federal government, the state of California, the County, the City, or any other public agency, or (iv) is encumbered by an easement of other restriction required by the City limiting the use of such property to open space. "Property Owner’s Association” means any duly constituted property owner’s association. As used in this definition, a Property Owner’s Association includes any homeowner’s association, condominium owner’s association, master or sub-association or non-residential owner’s association. “Property Owner’s Association Property” means any property within the boundaries of the District which is owned by a Property Owner’s Association As used in this definition, a property owner association includes any master or sub-association.
“Proportionately” means, in any Fiscal Year, that the ratio of the actual Special Tax to the Maximum Special Tax Rate is equal within each respective Tax Zone for all Assessor’s Parcels authorized to be levied in that Fiscal Year.
“Public Property” means any property within the boundaries of the District which (i) is owned by a public agency, (ii) has been irrevocably offered or dedicated to a public agency, (iii) is designated with specific boundaries and Acreage on a final subdivision map as property which will be owned by a public agency, or (iv) an easement for purposes of public or private road right-of-way making the property unusable for any other purpose has been granted. For purposes of this definition, a public agency includes the federal government, the State of California, the County, the City, school districts, or any local government or other governmental agency.
“Single Family Residential Property” means, in any Fiscal Year, all Assessor’s Parcels of Developed
Property for which a building permit was issued for construction of a Unit that does not share a common wall with another Unit, but may also contain an ADU.
“Special Tax” means the amount levied in each Fiscal Year on each Assessor’s Parcel of Taxable Property to fund the Annual Special Tax Requirement.
“Tax Escalation Factor” means a factor equal to the positive annual change in the April-to-April San Francisco-Oakland-Hayward, CA CPI-U index, with a minimum change of 3 percent and a maximum change of 6 percent, that will be applied annually after Fiscal Year 2022/23 to increase the Maximum Special Tax Rates shown in Section III. If such index is no longer published, a comparable replacement shall be determined by the District Administrator.
“Tax Zone” means a mutually exclusive geographic area within which the Special Tax may be levied pursuant to this Rate and Method of Apportionment. All of the Taxable Property within the District at the time of its formation is within Tax Zone No. 1. Additional Tax Zones may be created when property is annexed to the District, and a separate Maximum Special Tax shall be identified for property within the new Tax Zone at the time of such annexation. The Assessor’s Parcels included within a new Tax Zone when such Parcels are annexed to the District shall be identified by Assessor’s Parcel number in the Unanimous Approval Form that is signed by the owner(s) of the Parcels at the time of annexation. “Taxable Property” means all Parcels within the District that are not Exempt Property, exempt from the Special Tax pursuant to the Act or Section V below.
“Unanimous Approval Form” means that form executed by the record owner of fee title to a Parcel or Parcels of Taxable Property annexed into the District that constitutes the property owner’s approval and unanimous vote in favor of annexing into the District and the levy of Special Tax against his/her Parcel or Parcels pursuant to this Rate and Method of Apportionment of Special Tax. “Undeveloped Property” means all Assessor’s Parcels of Taxable Property within the District that are no Developed Property.
“Unit” means an individual single family detached or attached home, townhome, condominium, apartment, or other residential dwelling unit, including each separate living area within a half-plex, duplex, triplex, fourplex, or other residential structure.
“Welfare Exempt Property” means, in any Fiscal Year, all Parcels within the boundaries of CFD No. 2022- 01 that have been granted a welfare exemption by the County under subdivision (g) of Section 214 of the Revenue and Taxation Code.
II. DETERMINATION OF TAXABLE PARCELS
On or about July 1 of each Fiscal Year, the District Administrator shall determine the valid Assessor’s Parcel Numbers for all Taxable Property within the District. If any Assessor’s Parcel Numbers are no longer valid from the previous Fiscal Year, the District Administrator shall determine the new Assessor’s Parcel Number or Numbers that are in effect for the current Fiscal Year. To the extent a Parcel or Parcels of Taxable Property are subdivided, consolidated or otherwise reconfigured, the Special Tax rates shall be assigned to the new Assessor’s Parcels pursuant to Section III. The District Administrator shall also determine: (i) the Tax Zone within which each Parcel is located; (ii) which Parcels are Developed Property;
(iii) the number of Units and/or Acreage each Parcel contains; and (iv) the Annual Special Tax Requirement for the Fiscal Year.
III. ANNUAL SPECIAL TAX - METHOD OF APPORTIONMENT
All Taxable Property shall be subject to an annual Special Tax defined as follows.
The Special Tax shall be levied each Fiscal Year by the District Administrator. The Annual Special Tax Requirement shall be apportioned to each Parcel of Developed Property within the District by the method shown below.
First. Determine the Annual Special Tax Requirement.
Second. Levy the Special Tax on each Parcel of Developed Property, Proportionately, up to the Maximum Special Tax Rate described in the table below to satisfy the Annual Special Tax Requirement.
TABLE 1
SPECIAL TAX RATES – TAX ZONE NO. 1
FISCAL YEAR 2022/23*
Property Type
Maximum
Special Tax Rate Per
Single Family Residential Property $782.00 Unit
Accessory Dwelling Unit 312.80 Unit
Multi-Family Residential Property 634.00 Unit
Industrial Property 2,377.00 Acre
Undeveloped Property 0.00 Acre
*On each July 1, commencing on July 1, 2023, the Maximum Special Tax Rate for each Tax Zone shall be increased by the Tax Escalation Factor.
A different Maximum Special Tax Rate may be identified in Tax Zones added to the District as a result of future annexations.
In some instances, an Assessor’s Parcel of Developed Property may contain more than one type of property. The Maximum Special Taxes levied on an Assessor’s Parcel shall be the sum of the Maximum Special Taxes for all Units located on that Assessor’s Parcel.
IV. FORMULA FOR PREPAYMENT OF SPECIAL TAX OBLIGATIONS
The Special Tax may not be prepaid.
V. EXEMPTIONS
Notwithstanding any other provision of this Rate and Method of Apportionment of Special Tax, no Special Tax shall be levied on Assessor’s Parcels with public or utility easements making impractical their utilization for any use other than the purposes set forth in the easement, Open Space Property, Property Owner’s Association Property, or Public Property, except as otherwise provided in Sections 53317.3, 53317.5 and 533401 of the Act.
Welfare Exempt Property shall be exempt from the Special Tax only for Fiscal Years for which the property qualifies as Welfare Exempt Property.
VI. INTERPRETATION OF RATE AND METHOD OF APPORTIONMENT
The City reserves the right to make minor administrative and technical changes to this document that do not materially affect the rate and method of apportioning the Special Tax. In addition, the interpretation and application of any section of this document shall be at the City’s discretion. Interpretations may be made by the City by ordinance or resolution for purposes of clarifying any vagueness or ambiguity in this Rate and Method of Apportionment of Special Tax.
VII. MANNER AND DURATION OF SPECIAL TAX
The Special Tax shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, provided that the City may directly bill the Special Tax, may collect the Special Tax at a different time or in a different manner if needed to meet the financial obligations of the District.
A Special Tax shall be levied commencing in Fiscal Year 2022/23 to the extent necessary to satisfy the Annual Special Tax Requirement and shall be levied each Fiscal Year thereafter for as long as required to satisfy the Annual Special Tax Requirement..
VIII. APPEAL OF SPECIAL TAX LEVY
Any property owner may file a written appeal of the Special Tax with the District Administrator claiming that the amount or application of the Special Tax is not correct. The appeal must be filed not later than one calendar year after having paid the Special Taxesthat are disputed, and the appellant must be current in all payments of Special Taxes. In addition, during the term of the appeal process, all Special Taxes levied must be paid prior to delinquency.
The appeal must specify the reasons why the appellant claims the Special Taxes are in error. The District Administrator shall review the appeal, meet with the appellant if the District Administrator deems necessary, and advise the appellant of its determination.
If the property owner disagrees with the District Administrator’s decision relative to the appeal, the owner may then file a written appeal with the City Council whose subsequent decision shall be final and binding on all interested parties. If the decision of the District Administrator or subsequent decision by the City Council requires the Special Taxes to be modified or changed in favor of the property owner, an adjustment shall be made to credit future Special Taxes.
This procedure shall be exclusive and its exhaustion by any property owner shall be a condition precedent to filing any legal action by such owner.